Fonavi: Around 328,000 older adults would be left out of the return of contributions

The latest ruling of the Constitutional Court (TC), referring to the case of the National Housing Fund (Fonavi), not only did it reduce the State debt to the contributions of the workers, but it also provides for the exclusion of around 328,000 fonavistas from the return of the money, according to the alert of the National Federation of Fonavistas and Pensioners of Peru (Fenaf-Peru).

The ruling —016-2021 — indicates that “it is appropriate to declare the unconstitutionality of article 2 (of law 31173) in the extreme that allows the possibility that various people are included in the return, without evaluating whether they received any direct or indirect benefit from Fonavi resources”.

FENAF-Peru maintains that with said decision the TC would seek to exclude borrowers from the Materials Bank, fonavistas who live in places where sanitation and electrification works were carried out, from the return of contributions. One party has already paid their debt and another is pending payment, but they would do so with the money owed to them. They specify that the home connection costs have already been returned by the workers through the water and electricity bills.

On the other hand, they are concerned that the evaluation of who was benefited or not would remain in the hands of the ad hoc commissionwhose majority is held by the Executive, so they could easily exclude these people by imposing their criteria.

“If the members of the ad hoc Commission representing the Executive Power (debtor) imposing their majority, they resolve to exclude 328,000 fonavistas from the return of their own money under the pretext that they would have benefited with their own moneythey would be confiscating private assets, an action prohibited by Article 70 of the Political Constitution of Peru,” the union details.